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Technology Stocks : Micron Only Forum -- Ignore unavailable to you. Want to Upgrade?

To: Richard Russell who wrote (27504)	1/31/1998 11:53:00 PM
From: Zeev Hed	Respond to of 53903

Richard, I do not know when MU will get back to profitability, but I think that they eventually will. My worry about the current rally, is not only the "too much too fast" (MU is a master at doing that), but mostly I worry about the inventory liquidation prior to capacity shut down. There are a lot of DRAM for which encapsulating epoxies could not be imported for, due to the foreign credit problems, once this bottle neck is resolved, these chips will come rushing on the market at any price just to raise some working capital. Long term, I think that MU has a good chance of coming on top in this struggle, but not before we see a final desperation move which I think could get MU to test its lows and even an outside possibility of breaching these. Just do not go out and short MU based on this opinion, since it is in a strong technical move, and only a breach back down under about 31.75 or so will break this rally's momentum. Zeev